Fitch Ratings takes the following rating action on the U.S. residential master servicer ratings for Wells Fargo Bank, N.A.:
--U.S. Residential master servicer rating affirmed at 'RMS1'.
This rating action reflects Wells Fargo's extensive master servicing experience, highly tenured senior management, robust technology platform with continued investment and enhancements as well as the company's demonstrated ability to effectively oversee and monitor the activities of its primary and special servicers. In addition, the ratings were determined in accordance with Fitch's criteria 'Rating U.S. Residential Mortgage Servicers and 'Global Rating Criteria for Structured Finance Servicers', which are available on the Fitch Ratings web site at 'www.fitchratings.com'.
The rating also reflects the financial condition of its parent, Wells Fargo & Co. (WFC; rated 'A+/F1+' with a Stable Rating Outlook by Fitch).
Wells Fargo's master servicing operations are headquartered in Columbia, MD, with additional sites in Houston, TX and Minneapolis, MN. Wells Fargo and its predecessors have master serviced residential mortgage loans since the late 1980s. Wells Fargo is a leading master servicer of mortgage-backed securities (MBS) with a portfolio consisting of 2,367,930 residential loans totaling $546,487,608,900 as of Sept. 30, 2009 down from 2,737,852 loans the previous year totaling $648,265,100,716.
Wells Fargo has proactively monitored its primary servicers through preemptive planning for potential events of default, increasing the frequency of its on-site servicer visits, monitoring its back up servicer readiness and reviewing potential sale solutions. In 2009, Wells Fargo had four primary servicers that defaulted which required it to facilitate servicing transfers.
Fitch believes that Wells Fargo has continued to demonstrate its ability to manage its master servicing portfolio in this challenging market and has solid internal controls in place. Fitch will continue to monitor Wells Fargo's master servicing platform and performance in the current high delinquency environment.
Fitch rates residential mortgage primary, master, and special servicers on a scale of 1 to 5, with 1 being the highest rating. Within some of these rating levels, Fitch further differentiates ratings by plus (+) and minus (-) as well as the flat rating. For more information on Fitch's residential servicer rating program, please see Fitch's report 'Rating U.S. Residential Mortgage Servicers', dated Nov. 29, 2006 and 'Global Rating Criteria for Structured Finance Servicers' dated Sept. 30, 2009, which are available on the Fitch Ratings web site at 'www.fitchratings.com'.
Additional information is available at 'www.fitchratings.com'.
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Contacts:
Fitch Ratings, New York
Margaret Sweeney, 212-908-0712
Mary
Kelsch, 212-908-0563
or
Media Relations:
Sandro Scenga,
212-908-0278
Email: sandro.scenga@fitchratings.com
